Daimler signs agreement on €11 billion credit line

Jul 24, 2018
Stuttgart
  • Manager Sales and Finance Communications
  • Concluded with international consortium at attractive conditions
  • Credit line significantly oversubscribed
  • New credit line replaces existing credit line and serves to ensure sufficient financial flexibility at all times

Stuttgart, Germany – On July 23, 2018, Daimler AG (ticker symbol DAI) concluded a syndicated credit line with a consortium of international banks in an amount of €11 billion. The credit line has a term of five years with two extension options, and therefore provides the company with financial flexibility until the year 2025. Due to the favorable market environment, the existing credit line was extended prematurely. The transaction was concluded on significantly improved terms and was significantly oversubscripted. As a result of the favorable credit environment and Daimler's good credit rating, the commitment fee to be paid for the new credit line is lower despite its higher volume.

“The strong demand for this credit line and the attractive conditions for us show that Daimler enjoys a high reputation in the banking world and that the banks trust our strategy and the further development of the company,” said Bodo Uebber, Member of the Board of Management of Daimler AG responsible for Finance & Controlling and Daimler Financial Services. “We have made optimal use of the favorable conditions in a volatile environment and have created a long-term liquidity buffer with the early renewal of the existing credit line.”

The broad-based consortium of more than 40 banks from Europe, Asia and America reflects the global orientation of Daimler’s business.

Daimler does not plan to utilize the credit line. It serves solely to secure sufficient financial flexibility at all times. Upon signing this agreement, Daimler terminated the existing €9 billion syndicated credit line ahead of schedule

Daimler signs agreement on €11 billion credit line
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Daimler signs agreement on €11 billion credit line


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